LD 774- Anyone know what the meat of this bill is?? (Augusta: low income, real estate)

[flycessna]

Hey folks, did some quick reading here about this and was wondering who was familiar with it and could enlight me on it.

At fist glance it "appears" to sight some reasonable and logical problems the state of Maine faces with its aging and outdated housing pool.

However I am afraid this bill will just throw money at one while creating another.

Rebuilding Maine’s Economy through Green Housing Investments | The Exception Magazine

[forest beekeeper]

"By issuing $200 million in revenue bonds over the next ten years including $30 million over the next two, LD 774 would pay for the construction of new units of affordable housing, renovation of existing housing, weatherization of existing housing stock, and replacement of pre-1976 mobile homes."

Correct me if I am wrong here. These are bonds, so taxes will be raised to pay them off.

"construction of new units of affordable housing" Isn't that a keyword for welfare housing? State assisted housing for the poor?

"renovation of existing housing" I have no idea of how the government would go about doing this. Home improvement loans? I think such is already available to folks who have jobs.

"weatherization of existing housing stock" I think public utilities already get tonnes of government funding to provide free insulation upgrades for low income families.

"replacement of pre-1976 mobile homes." Replacing old Mobile Homes?



I am not sure that we truly need higher taxes.

I see that more jobs might help, but jobs at the expense of taxes is a bad idea IMHO.

I like programs that help folks with insulating their homes. Such programs have been around for many decades. I would like to think that with such programs having been here for so many years, most folks have already bundled up their homes as much as possible.

I could be in error.

[ADSLubec]

A revenue bond is a special type of government bond distinguished by its guarantee of repayment solely from revenues generated by a specified revenue-generating entity associated with the purpose of the bonds. The likely source of bond repayment would be real estate transaction fees or taxes. So yes, some sort of tax will be used to pay off the bond holders. Seems like an expensive proposition at $200 million.

Alan

Principal Budget Analyst
Connecticut General Assembly
and part-time resident of Maine
who will retire there in the next decade


The bill summary:

This bill:

1. Establishes within the Maine State Housing Authority the Maine Energy, Housing and Economic Recovery Program to support the construction of multifamily affordable housing units; renovation of affordable housing units; weatherization of owner-occupied residences; and replacement of manufactured housing units that do not meet the United States Department of Housing and Urban Development regulations, 24 Code of Federal Regulations, Part 3280;

2. Directs that a portion of the revenues derived from the real estate transfer tax be deposited in a new fund to provide funds for the Maine Energy, Housing and Economic Recovery Program. In fiscal year 2009-10, $2,500,000 is transferred to the fund, and in fiscal year 2010-11, $5,000,000 is transferred to the fund. Thereafter, amounts are transferred as necessary to meet the obligations of the Maine State Housing Authority with respect to revenue bonds issued for the Maine Energy, Housing and Economic Recovery Program; and

3. Authorizes the issuance of revenue bonds by the Maine State Housing Authority for the purposes of the Maine Energy, Housing and Economic Recovery Program. The authority may have at any time an aggregate principal amount outstanding on such bonds of up to but not exceeding $200,000,000. The authority is required to issue revenue bonds in an amount of at least $30,000,000 in fiscal year 2009-10 and an additional $30,000,000 in fiscal year 2010-11 and may issue additional amounts as appropriate for the purposes of the program.

[forest beekeeper]

Originally Posted by ADSLubec

A revenue bond is .... The likely source of bond repayment would be real estate transaction fees or taxes.

I heard enough.

La la la la la, I can't hear you.

I heard the part that matters to me.

La la la la la, I heard enough to know that I dont like it.

More taxes and growing a bigger gubbermint is not a good thing. It is a bad thing.




[it looked like a very informative post though]

[Northern Maine Land Man]

"Replacing old Mobile Homes?"

These will be homes occupied by people on public assistance. They already get cars, big screen TVs and new clothes on top of their checks. That's why Maine's tax burden per capita income is the highest in the entire country. It will be this way until we throw out the bums who vote this in. 36 years with the same party in control builds an incestuous relationship between the givers and the takers.

[msina]

Penquis cap replaced 9 of these older mobile homes that were deemed unsafe this past year. The occupants were elder folk on Soc. Sec.
I could use a new car, a flat screen tv and don't even get me started on clothes!!!
One issue I see right here (in the neighborhood) is the woman that gets TANIF and all the bennies and has her S.O. living there. Basic welfare cheat.
I have no problem with helping someone in a tough spot but, I do get peeved at those that LIVE on public assistance.

[reloop]

Originally Posted by flycessna

At fist glance it "appears" to sight some reasonable and logical problems the state of Maine faces with its aging and outdated housing pool.

However I am afraid this bill will just throw money at one while creating another.

Rebuilding Maine’s Economy through Green Housing Investments | The Exception Magazine

Well - "big mouth" had to shoot hers off on that website, so I'll just meander over here and post what I wrote.

I'd like to preface this by saying that I am not a heartless turd - believe me, I've spent my fair share of time and money helping people out, and I certainly don't want to see the elderly suffer needlessly in cold pre-1976 mobile homes - honest.

As altruistic as this bill appears to be, I'd like to take a moment to speak for myself (a taxpayer who has never qualified for anything remotely close to assistance - even though there were times in the past that I worked 2 jobs and STILL barely made enough to live).

I am all for helping people who need assistance to build a better life, but I have to say that I am at my wits end with all of the discussion of "job creation" that will only create jobs in the short term. Jobs that pay a living wage with reasonable benefits are all but gone now. The death of the many paper mills, shoe factories, textile mills, etc...have provided a dearth of jobs that cannot, and I repeat, cannot be replaced with mainly part-time service-sector minimum wage jobs with no benefits. I know how many residents of this state are employed - albeit - underemployed and qualify for Mainecare and other assistance. It is staggering to me. Contrary to popular belief, a considerable amount of Mainecare recipients aren't welfare cheats - many work full-time (or as close to full-time as they are allowed to). Construction jobs are great, yes, but the fact of the matter is that construction jobs wax and wane and sooner or later, they simply go away until the next "boom or bubble" of building.

This situation probably would have more support from many people IF it weren't for the indisputable FACT that this state seems to be working a budget that not only appears to be based on voodoo mathematics, but also seems to be addicted to spending revenue that it doesn't even have yet. I'll use the current school consolidation situation as an example of that: First the penalties are this much - oops! We were wrong...it won't cost you that much, it'll cost you this much - for now anyway. As a taxpayer all I can say is basic arithmetic will take us very far - do not spend what you don't yet have in order to generate an amount whose end will not justify its means. I'm also becoming less than impressed with a populace who seem to vote bond issues through as if free matching federal fund money rained down from the sky. Harsh perhaps, but I see what federal taxes fly out of my paycheck as well.

Furthermore, ForestBeekeeper hit the nail on the head when he said "But a portion of the money will go to administration, to banks, only a part of it will go to construction workers, and then only until the money runs out." After the money runs out, many of the construction workers will go back to qualifying for services, and the taxpayers will continue to pay both for this bill, and for the services that the newly-unemployed construction workers will then qualify for.

Personally, I would like to see the money spent in incenting businesses that don't have their corporate headquarters in another state (and send the bulk of their profits there) to come up here and hire Mainers so that they don't have to live in pre-1976 mobile homes. Reasonable wages and reasonable benefits would keep a lot of the working poor off Mainecare - which truly is a giant draining vortex of a program that's parting a lot of Mainers from a lot of their wages (in the form of taxes).

Additionally, with the number of people I now know who have recently received "pink slips" and the number of mortgage forclosures that I see daily in the paper, it'll be a matter of time before the tax-payer pool shrinks even further and I end up having to sell my home to move into a pre-1976 trailer. Sound contrived? Perhaps, but not to all of my acquaintances that were living high off the hog (and forking over big state taxes in the process) in the mortgage business for the last few years. It's all relative to me - for now anyway - able to still pay my bills and feed my kids without assistance. I'd like to keep it that way.

[Acadianlion]

Originally Posted by flycessna

Hey folks, did some quick reading here about this and was wondering who was familiar with it and could enlight me on it.

At fist glance it "appears" to sight some reasonable and logical problems the state of Maine faces with its aging and outdated housing pool.

However I am afraid this bill will just throw money at one while creating another.

Rebuilding Maine’s Economy through Green Housing Investments | The Exception Magazine

I expect that the folks in Augusta will knee jerk, genuflect, and goose step over anything that has "jobs" and "energy" in the title. The plain fact of the matter is that Maine is losing 1000 people per month now due to the recession, and these are young, working people who are leaving. This is according to my local legislator. So, "jobs" and "energy" are BIG.

But it was interesting to see who the sponsor and cosponsors of his bill were. The sponsor was Libby Mitchell, the rabid democrat who is majority leader. She's from Kennebec County. The cosponsors were all from counties from Waldo to New Hampshire. That means that those of us who live in "the other Maine" aren't in the mix on this one.

One aspect of the bill stood out to me. It's intent will be to provide jobs that will create affordable housing and affordable multi-unit housing in areas where there are jobs.

[retiredtinbender]

It never ceases to amaze me how much of the bond issue or stimulus money goes to admin or other sources that don't bring any stimulus. As Forest and reloop said: "... a portion of the money will go to administration, to banks, only a part of it will go to construction workers, and then only until the money runs out." And with the track record of this administration in Augusta to give more to historical (Portloands art community last month, I believe got stimulus money) instead of parts of the economy that would boost job prospects is abysmal. A few years ago the Gov. gave $350,000 to the Heritage Museum in Calais (not a shot at Calais. ) which was going into bankruptcy and $200,000 to the boat school for education in a time when the boatyards were screaming for qualified people. The museum finally went bankrupt and the boat school alsmost did until Hussen stepped in to help. To me this just shows that Augusta is more interested in art and the past than it is in the future. And writing to them seems tomake no difference. I worry over any bill that gives them more money. In my HUMBLE opinion.

[dmyankee]

The only way to improve the living conditions of our residents in the long term is to promote job growth, cheaper energy prices, cut all taxes and grow the economy!

This is more welfare than anything else. The nannies in this state will do anything for more votes on the back of the few taxpayers that are left here. Every year, we just borrow more bond monies and every year, we are asked for more. This has to stop!